Venezuela
| Pros |
|---|
| Widespread use of US dollars and cryptocurrencies to bypass state-controlled monetary systems and hyperinflation. |
| Minimal enforcement of tax regulations and labor laws due to state institutional collapse and informal economy. |
| Low cost of living for dollar-earners and access to high-quality private services in specific urban pockets. |
| Cons |
|---|
| High levels of systemic corruption and legal insecurity threatening private property rights and business operations. |
| Severe infrastructure failures including frequent power outages, water shortages, and unreliable internet connectivity across the country. |
| Extensive state interventionism and arbitrary regulatory changes creating a volatile and unpredictable business environment. |
Long story short: The bolivar is worthless, everyone pays in cash dollars, and the tax office has neither the means nor the will to hunt you down.
The flip side: corruption is everywhere, the rules shift with the whims of whoever holds power, and local banks are best avoided, keep your cash close.
Other than that: in Caracas's wealthy neighborhoods, private security fills in for an absent state, the food is excellent, the landscapes are stunning, and the oil potential remains huge for whoever waits it out.
Will your income be taxed?
Long story short: YES, A LOT.
They'll shear you for up to 34% at the top marginal rate in Venezuela, and the taxman has long arms: linger a bit too long, park your economic interests here, and the net closes.
Steep rate, wide catchment: the classic combo of states that don't let go of their cash cows. Don't expect a plane ticket to fix it.
If you earn a year, you will pay .
Roughly effective, with a marginal rate of .
Will your wealth be taxed?
Long story short: YES, A LOT.
Venezuela runs the full shearing kit on wealth: capital gains at 34%, plus an annual wealth tax above a threshold (top rate 0.3%).
Flow, stock, transfer: every angle gets clipped. Holding assets here is how you feed the machine.
Easy to run a company there?
Long story short: NO.
Corporate tax in Venezuela is 34%, no IP-box mercy, VAT at 16 on top.
Operationally, running a company here is fine; fiscally, the state helps itself to a fat slice of every unit of profit. You do the work, they skim the cream.
A good fit for a holding?
Long story short: NOT REALLY.
Venezuela has a moderate 33-treaty network, but no participation exemption: dividends from subsidiaries land straight in the corporate schedule (34%).
Fine for operational subsidiaries; as a pure holding base, you're feeding the local taxman at every distribution.
| Country | Status | Dividends | Interest | Royalties |
|---|---|---|---|---|
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| ∅ // no treaties match | ||||
Easy to come and go?
Long story short: SOME.
Venezuela taxes your worldwide income while you're resident, but at least the exit is free: no exit tax on the way out.
Leaving costs you paperwork, not money; your unrealised gains walk out the door with you, untouched.
Is your money watched?
Long story short: NO.
Foreign tax offices see next to nothing of what you do in Venezuela: it has signed few exchange frameworks.
But the corporate registries are public: your shareholdings and directorships are one search away for anyone curious. Invisible from abroad, on display at home.
Is it blacklisted?
Long story short: YES.
Venezuela sits on an international embargo list (UN, US or EU sanctions). This is not blacklist friction, it's the financial death penalty: correspondent banking is gone, payment rails refuse the corridor, and simply transacting with the country can put you on a sanctions desk's radar.
Whatever the tax math says, the jurisdiction is radioactive. Walk away.
Do you feel free there?
Long story short: NO.
Press freedom in Venezuela is locked down (RSF rank #160). Independent media and civic space operate under pressure (when they operate at all), and that kind of grip usually spills over into economic life too.
Small mercy: crypto isn't formally banned.
Connected to the world?
Long story short: COMPLETELY CUT OFF.
Venezuela is unplugged from the global money grid: 2/11 of the services we track work here. No Stripe, no Amazon, and almost nothing around them either.
Whatever your plan is, the payment layer gets built from scratch, with local banks and local rules. Come for other reasons; connectivity isn't one of them.
Other jurisdictions worth comparing
Picked by similarity of strategic profile to Venezuela. No editorial ranking — neighbours in the same scoring space.